Escom cancels K675m house demolition contract after public outcry

Electricity Supply Corporation of Malawi (Escom) Limited has cancelled plans to award a K675 million contract to bring down Escom House in Blantyre after a public outcry that the cost could have been less.

Chiwaya (R) contract cancelled after public disapproval

Escom chief executive officer Dr Allexon Chiwaya said in a statement seen by Nyasa Times that the power utility body has cancelled he demolition contract “in the public interest.”

The cancellation comes in the wake of Human Rights Defenders Coalition (HRDC) demand Escom Limited to halt the demolition of its fire gutted Escom House, saying the K675 million payment just to bring down the building is astronomical.

Vice chairperson of HRDC, Gift Trapence, says what the rights activists want is the cancellation of the whole contract altogether.

“Why did Escom refuse to award the contract which just wanted K136 million and opted for somebody who is demanding K675 million.

“This is tax payer money. Malawians want value for their money. It is impossible to use all that money just for demolition of a bulding,” said Trapence.

The contract has been awarded to Irrigwater and Mining Equipment which is owned by Zimbabwean Brighton Chirairo, who in turn has subcontracted it to a South African company.

Sources say Chirairo is just being fronted by some “biggie” in the deal for wrongful enrichment.

In cancellation statement, Escom boss said they have “noted the concerns”that have been raised by engineers and ordinary Malawians.

“The concerns raised are being addressed and the general public shall be informed of any developments to that effect,” said Chiwaya, according the statement dated April 26 2019.

Chiwaya, nonetheless, said Escom followed all the procurement processes, including seeking a “No objection” from the Public Procurement and Disposal of Assets Authority granted on April 8 2019.

The PPDA letter of ‘no objection’ signed by Patrick Nkunika reads: “Kindly be advised that according to information made available to the authority, ‘no objection’ has been granted for the award a works contract to Irrigwater and Mining for the demolition of the fire gutted Escom House in the city of Blantyre at the sum of K675 million.”

Chiwaya said notification in the newspapers was meant to ensure “transparency and accountability” in the procurement process prior to any contract award as required by law.

Zima genset zikuola zija bwa?
No wonder we got a lawyer after 145 million scando he is still phwii as a presdent
I know one MP in another country claimed 45 pence fronm the taxpayers money for his kitchen sink stopper. He was sucked . And us , still clapping hands for his packs of lies and imagery castles in the air.
It sucks. We nid someone to revamp

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1 year ago

Guest

khumzy05

Big up nyasatimes, atolankhani athu and every single malawian out there who play a big role to criticize this daylight robbery. Lets continue this good fight against all misuse of public money and offices. tisasiile pompa andalewa akutionongela dziko.

Electricity tariffs are already high and you are still not contented, you still want to brutalize Malawians with your dubious ways. ESCOM abeg please repent!! there is no glory in enriching yourself with “stolen money”.

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1 year ago

Guest

Real T

Thats very true, there is no glory in enriching one’s self with stolen money

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1 year ago

Guest

concerned citizen

Munazolowera kuba nthawi zonse. This was going to be a chain of people getting a cut from the Mk 675 million including PPDA gurus. How could PPDA approve such an astronomical figure just for demolition. You wonder if a demolition job will cost this much how much more are they going to spend for building a new one

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1 year ago

Guest

Jaan

It does not mean they were not involved in the mischief
there should be an inquiry

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1 year ago

Guest

Aaron Mwala

This must not end here we must find out who was behind this. These are the people destroying Malawi and must be brought to account

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1 year ago

Guest

Deputy Minista

Cancellation is not enough. Those behind the award should resign or be fired.